Shaquille O’Neal Agrees to $1.8M Settlement in FTX Lawsuit

NBA legend Shaquille O’Neal has agreed to settle a class action lawsuit related to the collapse of cryptocurrency exchange FTX by paying $1.8 million, pending court approval. The lawsuit, filed in 2022, accuses O’Neal and other high-profile celebrities such as Tom Brady and Stephen Curry of promoting FTX as a trustworthy investment without conducting proper due diligence. FTX, once the third-largest crypto exchange, filed for bankruptcy after billions in losses and investigations revealed that its founder, Sam Bankman-Fried, mishandled customer funds and was sentenced to 25 years in prison in 2024. The settlement protects O’Neal from future claims and stipulates that he cannot seek reimbursement from the FTX estate, with payment due within 30 days of finalization. This settlement allows O’Neal to exit the lawsuit, which involves investors who deposited money or bought FTX tokens between 2019 and 2022. The case underscores the risks associated with celebrity endorsements in the volatile cryptocurrency market.